I noticed this question was posted a long time ago and perhaps things have changed so I took the liberty to dig in again and also aggregate most of the answers given here and here’s what I found:
It’s indeed impossible to buy Bitcoins with Paypal DIRECTLY even today and it's mainly because of Paypal’s TOS (Section 3.7 here) and the issues of chargeback.
I did some more digging on bitcoin.it and answered my own question. According to the FAQ and the list of payment methods, the reason that Paypal and Credit Cards are not accepted is to prevent fraud (by doing a fraudulent charge-back). For this reason, none of the exchanges accept these as forms of payment.
In short, you cannot (directly) use these to buy ...
PayPal's user agreement prohibits the use of their payment network for buying digital currency.
Here's an approach. With VirWoX you can buy SLL and pay with either credit card or Paypal. Then you can trade your SLL for BTC:
Sporadically you will find inventory on BTCQuick:
And finally, there is the ability to ...
Bitcoin strongly enforces two concepts - high anonymity and no chargebacks.
Because of high anonymity, it is nearly impossible to be 100% certain who you are sending Bitcoins to. In the end, the Bitcoin address is just an arbitrary string of characters.
Because of no chargebacks, once you send someone Bitcoins, they are irreversibly theirs (assuming no ...
It's because bitcoin transactions are final, and exchange margins are low.
Businesses selling something for download can afford to be hit by fraud without incurring any real loss (other than potentially an opportunity cost, but even that is likely to be minimal as fraudsters would be unlikely to pay even if they couldn't defraud). ie margins are high.
Well, all transaction between Bitcoin addresses are stored forever, and so are fully traceable. What this means in your case is indeed that the credit card company can trace the coins you bought from them.
However, there are a few things to note.
Bitcoin addresses don't have a name assigned. F.e. Bitstamp will not know that the Bitcoins are coming from the ...
Bitcoins are liquid. Everybody wants bitcoins, and as many as they can get - if not for some immediate use, then to sell them for other currencies which are of immediate use. Even someone who doesn't need or believe in Bitcoin can still steal them. Thus a Bitcoin CC trader will attract all the fraudsters in the world. A site like RPGNow will attract only ...
Buying bitcoins for credit card or PayPal is very problematic, but all hope is not yet lost.
Every now and then a new service pops up that thinks it cracked the secret of how to do this sustainably - http://www.mrcoins.org/ seems to be the flavor of the month. Such services usually take a very high fee.
CoinPal was a great service when it ran, and they ...
Every transaction ever made in Bitcoin is public. You can see the most recent here:
What makes it anonymous, is that you may not know who owns which account number (Bitcoin address). If Privateinternetaccess picks a new receiving address for every transaction, it's very difficult for an outside person to see who is ...
Bitocin and Litecoin have the same problems when trying to buy them with funding methods that allow chargeback.This is mainly because of Paypal’s TOS (Section 3.7 here) and the fact that your can't chargeback Liteocin since it is considered as cash.
Having said that there are still a few ways you can buy Litecoin with Paypal or a credit card.
Use VirWox to ...
This problem is not solvable unless you want to place yourself at great personal risk. The trouble is that bitcoin transfers are inherently non-reversible, meaning that once you've transfered bitcoins there is absolutely nothing you can do to guarantee the return of those bitcoins. Credit cards however are highly reversible and most banks reserve the right ...
The best way to do it is in person, with cash. Most other methods are traceable. Provided you don't live in the middle of nowhere, it's pretty easy to find at least someone nearby who's willing to buy, and if you're serious about anonymity that extra travel distance is probably a minor issue.
If you live in the states the only service that comes close to this would be
https://www.xmlgold.eu/ - you can even order a pre-paid credit card that you are able to top up with bitcoins.
https://www.okpay.com/en/index.html - Okpay used to offer the same service but due to regulatory reasons they have ceased offering thier services to US citizens.
Yes, there is Smart Card Wallet project, though there seems to be no clear indication on what stage the project currently is.
There is also hardware wallet by Slush. It's not smart card based, but works pretty much the same way. Also still in development.
You cannot turn paypal into bitcoin but you can do it the other way around.
Check out this site:
They accept cash deposits (US only) and are also supposed to speed up the different transfers they allow. For example, from dwolla, paxum or liberty reserve to mtgox or tradehill. I haven't tried it myself though.
[Update: This exchange method is no longer available.]
a website with the url of http://www.iocoloradocentral.com/ has converted my paypal funds to bitcoins for quite a while now, i have always received the bitcoins :).
I dont like the advertisement of third party services to technical novices!
To answer the question. Bitcoin is perfectly transparent. Privacy relies on the steps you take to protect your identity.
Things you can do to make a tracing harder:
Use a VPN or multiple VPN.
Use Proxy or multiple Proxy.
Use Tor (Multiple Tor instances can lead to ...
There is not a single available solution to go to a general VISA/MC/AMEX card in the US today. Money Transmitter laws (and a host of other regulations) make this a very difficult proposition at the moment.
Some other countries don't have the same issues today, like Canada http://paymentweek.com/2013-11-4-canada-introduces-bitcoin-debit-card-services-238461/ ...
Western union online money in minutes. The client pays western union with their credit card, the client send you the mtcn, you pick up the funds. Pretty Much Irreversible.
Have you looked in to Green Dot Money Pak?
While not technically for payment processing, it is possible to send these to a merchant and they are non-refundable. FYI they are tracked by ...
Taking a quick look here: https://en.bitcoin.it/wiki/Selling_bitcoins reveals that BTC-E is capable of doing PayPal withdrawals.
I'm not sure how closely it meets your requirements, and PayPal clearly requires you to provide personally identifiable information, but it could be helpful.
Bitcoin would be a poor choice for such a system because it doesn't really have a concept of account balances that are present in the blocks. You'll likely also need some central authority to decide who is part of "everyone". Otherwise, someone can create a million accounts and then pool all the money.
Also, Bitcoin is fundamentally secured against double ...